Latest news with #mobileplatforms
The Guardian
6 days ago
- Business
- The Guardian
UK competition watchdog to act over Apple and Google's mobile platforms
A UK watchdog has said it intends to take action to open up Apple and Google's mobile platforms to more competition to benefit consumers, businesses and app developers. The Competition and Markets Authority has proposed to designate the tech companies as having 'strategic market status' – as they hold an 'effective duopoly' for access on mobile devices – and now intends to force the two companies to make changes to their mobile platforms. The regulator said that it had published 'roadmaps' for Apple and Google and that it would take a 'proportionate, pro-innovation' approach to 'promote competition in digital markets while protecting UK consumers and businesses from unfair or harmful practices'. The CMA said it would, in the first instance, focus on areas such as the tech companies' app stores – which have been criticised by developers over issues including fees of up to 30% for transactions – to ensure a 'fair and transparent' app review process, as well as making sure that smartphone users could 'steer' away from app stores to make purchases. The watchdog, which launched an investigation into the US tech companies earlier this year, will also address restrictions Apple imposes on digital wallets to ensure that competing financial technology companies can compete. 'Apple and Google's mobile platforms are both critical to the UK economy – playing an important role in all our lives, from banking and shopping to entertainment and education,' said Sarah Cardell, the chief executive of the CMA. 'But our investigation so far has identified opportunities for more innovation and choice. Time is of the essence: as competition agencies and courts globally take action in these markets, it's essential the UK doesn't fall behind,' she said. However, the CMA said it did not at this stage intend to force major changes such as requiring Apple to allow alternative app stores, or alternative payment methods for in-app purchases beyond its existing payment system. Tom Smith, a competition lawyer at Geradin Partners and a former CMA director, said the competition watchdog was 'ducking' taking major decisions 'which might draw political heat'. 'The CMA is implementing the regime in a thoughtful and authoritative way, but it is doing it more timidly than it should be,' he said. 'It is proposing some useful measures that would open up competition in digital markets, but it is ducking issues that would really threaten the entrenched positions of Apple and Google, and which might therefore draw political heat. For example, they have postponed the possibility for alternative app stores to challenge the App Store's monopoly on Apple devices.' Tim Sweeney, the founder and chief executive of Fortnite maker Epic, which has had legal battles with Google and Apple in the US, criticised the CMA's approach as 'surprisingly weak'. 'The monopolised UK app store economy has all of the vibrancy of a Soviet supermarket,' he said in a post on X. 'And consideration of unblocking competing app stores is delayed to 2026.' The company said it could not launch its Epic Games Store on Apple's iOS platform in the UK – as it was doing in EU countries and later this year in Brazil and Japan – and that availability of its globally popular Fortnite game on Apple phones in the UK was 'now uncertain'. The UK competition watchdog announced its investigations into Apple and Google's mobile platforms in January. When the investigation was launched, the CMA said that virtually all smartphones sold in the UK were pre-installed with Apple's iOS or Google's Android operating systems, while their app stores and browsers had privileged positions over third-party products and services. Apple's Safari and Google's Chrome dominate the mobile browser market on iPhones and Android devices. The CMA investigation was launched days after the appointment of Doug Gurr, the former country manager of Amazon UK, as its new chair. Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning after newsletter promotion The government, which has pushed for a shake-up of regulation to kickstart UK growth, was forced to deny it was 'in the pocket of big tech' after the appointment. Tech firms, publishers and the consumer watchdog Which? subsequently wrote to the chancellor, Rachel Reeves, raising concerns that Gurr's appointment posed a threat to the independence of the CMA. Gurr said he would make the CMA's investigations into mergers and takeovers 'simple and rapid', and Cardell said in February that a change of strategic direction was needed. Apple responded to the CMA's decision to act by saying the proposed new rules could hamper innovation and threaten privacy and security. 'We're concerned the rules the UK is now considering would undermine the privacy and security protections that our users have come to expect, hamper our ability to innovate, and force us to give away our technology for free to foreign competitors,' a spokesperson said. 'We will continue to engage with the regulator to make sure they fully understand these risks.' Google said its products were open-source and offered choice, security and innovation for users. 'That's why today's announcement is disappointing and unwarranted,' said Oliver Bethell, the senior director, competition, at Google. The company said that in 2022 its Android operating system generated more than £9.9bn in revenue for British developers, supporting more than 457,000 jobs. 'It is therefore crucial that any new regulation is evidence-based, proportionate and does not become a roadblock to growth in the UK,' Bethell said. If a company is designated as having 'strategic market status', that status can last for a five-year period, and breaches of conduct rules can result in fines of up to 10% of global turnover.
CNA
6 days ago
- Business
- CNA
UK steps up scrutiny of Apple and Google over mobile platforms
LONDON :Britain on Wednesday told Apple and Google to be fairer in how they distribute apps on their mobile platforms, setting out possible interventions as it plans to designate the U.S. tech companies with strategic market status over their duopoly. The country's competition regulator, which was given a wider remit this year to take on Big Tech, laid out concerns relating to inconsistent and unpredictable app review processes, inconsistent app store search rankings, and up to 30 per cent commission on some in-app purchases. Apple and Google's mobile platforms hold an "effective duopoly", with around 90-100 per cent of UK mobile devices running on their mobile platforms, the Competition and Markets Authority (CMA) said in a statement. "Apple and Google's mobile platforms are both critical to the UK economy ... but our investigation so far has identified opportunities for more innovation and choice," CMA head Sarah Cardell said. She said the CMA's "targeted and proportionate" actions would support British app developers - who contribute an estimated 1.5 per cent to the country's economy - to innovate. Interventions could require the companies to make their app store review and ranking processes fairer and more transparent, including fair warnings of changes to the process or guidelines and appropriate channels for businesses to raise concerns. Apple and Google pushed back against the CMA's proposals, with Google calling the step "disappointing and unwarranted." "It is ... crucial that any new regulation is evidence-based, proportionate and does not become a roadblock to growth in the UK," Google's senior director for competition, Oliver Bethell, said. Apple said it was concerned that the new rules being considered would undermine the privacy and security protections expected by its users. 'MISSED OPPORTUNITY' In contrast, "Fortnite" maker Epic Games, which stands to benefit from a more open mobile ecosystem, said the regulator had not gone far enough. It said the CMA, which gained more global prominence as a regulator following Brexit, had "deprioritised store competition entirely" by pushing it to be considered in 2026, calling it a "missed opportunity." The company, which has launched its own marketplace app in Europe, said it could not bring its app store to Apple's mobile operating system (iOS) in Britain this year and said that Fortnite's return to Apple's iOS was also uncertain. The regulator is also under pressure from Britain's Labour government, which has called on regulators to prioritise growth in hopes of rejuvenating a stagnant economy to regain voter confidence. A final decision on both the designations will be made by October 22, the CMA said. It also published roadmaps on potential further action as part of these parallel investigations. A strategic market status designation allows the CMA to impose interventions on a company, such as requiring it to adhere to specific behaviour so as not to undermine fair competition. For Alphabet-owned Google, mobile platforms are the second market where it has come in for closer scrutiny under the CMA's new regime, following the watchdog's proposal last month to designate Google in general search and search advertising.
Yahoo
6 days ago
- Business
- Yahoo
Apple and Google may be forced to make changes over mobile platform ‘duopoly'
Apple and Google hold an 'effective duopoly' with their mobile platforms and may be forced to open them up to more competition, a UK watchdog has said. The Competition and Markets Authority (CMA) has announced proposals to give the US tech giants 'strategic market status' for their mobile platforms, which could enforce changes that will benefit consumers, businesses and app developers. Under new rules which recently came into force, firms designated with the status can have conduct requirements imposed on them which boost competition for UK businesses and choice for consumers. The regulator has outlined 'targeted and proportionate' possible actions for each firm to improve competition across app stores, so-called interoperability, consumer choice and artificial intelligence (AI) services. Apple and Google both criticised the proposal to designate their platforms with the special status, but consumer group Which? said it should ultimately lead to more innovation and choice for consumers. An earlier market study by the CMA published in 2021 found that Apple and Google dominated mobile ecosystems across operating systems, app stores and web browsers. It said this meant the two companies were in a position to effectively set the rules on how mobile browsers worked on their devices. Around 90% to 100% of UK mobile devices run on Apple or Google's mobile platforms, according to the CMA. Sarah Cardell, chief executive of the regulator, said: 'Apple and Google's mobile platforms are both critical to the UK economy – playing an important role in all our lives, from banking and shopping to entertainment and education. 'But our investigation so far has identified opportunities for more innovation and choice.' She added that action needed to be taken swiftly. 'Time is of the essence – as competition agencies and courts globally take action in these markets, it's essential the UK doesn't fall behind,' she said. Potential measures outlined by the CMA include action on app stores, making the app review process fair and transparent for developers, and allowing smartphone users to 'steer' away from app stores to make purchases. The CMA will also look to give app developers interoperable access to Apple functionality so they can create competitive products and services. It also wants to address the restrictions that Apple places on digital wallets so other financial technology firms can compete, while allowing smartwatches and headsets to connect seamlessly with mobiles. But the CMA has stopped short of some interventions, such as forcing Apple to allow alternative app stores. An Apple spokesperson said: 'We're concerned the rules the UK is now considering would undermine the privacy and security protections that our users have come to expect, hamper our ability to innovate, and force us to give away our technology for free to foreign competitors. 'We will continue to engage with the regulator to make sure they fully understand these risks.' Google said the proposal was 'disappointing and unwarranted'. Oliver Bethell, director of competition at Google, said the firm's mobile platform and products were open source, offering 'choice, security and innovation for users'. 'We estimate that Android has saved developers over one million days they would otherwise spend adapting to different operating models for each smartphone,' he said. 'It is therefore crucial that any new regulation is evidence-based, proportionate, and does not become a roadblock to growth in the UK.' The companies can make their cases to the CMA over the next month, with the CMA expected to make a final decision by October 22. Rocio Concha, director of policy and advocacy at consumer group, said: 'Which? supports this measure in a bid to boost competition among businesses, which should lead to more innovation and more choice for consumers.'
Yahoo
6 days ago
- Business
- Yahoo
Apple and Google may be forced to make changes over mobile platform ‘duopoly'
Apple and Google hold an 'effective duopoly' with their mobile platforms and may be forced to open them up to more competition, a UK watchdog has said. The Competition and Markets Authority (CMA) has announced proposals to give the US tech giants 'strategic market status' for their mobile platforms, which could enforce changes that will benefit consumers, businesses and app developers. Under new rules which came into force at the start of the year, firms designated with the status can have conduct requirements imposed on them which boost competition for UK businesses and choice for consumers. The regulator has outlined possible actions for each firm to improve competition across app stores, so-called interoperability, consumer choice and artificial intelligence (AI) services. An earlier market study by the CMA published in 2021 found that Apple and Google dominated mobile ecosystems across operating systems, app stores and web browsers. It said this meant the two companies were in a position to effectively set the rules on how mobile browsers worked on their devices. Around 90% to 100% of UK mobile devices run on Apple or Google's mobile platforms, according to the CMA. Sarah Cardell, chief executive of the regulator, said: 'Apple and Google's mobile platforms are both critical to the UK economy – playing an important role in all our lives, from banking and shopping to entertainment and education. 'But our investigation so far has identified opportunities for more innovation and choice. 'The targeted and proportionate actions we have set out today would enable UK app developers to remain at the forefront of global innovation while ensuring UK consumers receive a world-class experience.' But she added that action needed to be taken swiftly. 'As competition agencies and courts globally take action in these markets, it's essential the UK doesn't fall behind,' she said.
The Verge
6 days ago
- Business
- The Verge
After six months, the UK confirms Google and Apple are both big tech companies.
Posted Jul 23, 2025 at 11:53 AM UTC After six months, the UK confirms Google and Apple are both big tech companies. The Competition and Markets Authority (CMA) has proposed giving them 'strategic market status' for iOS and Android, since over 90 percent of UK mobile devices run either OS. It took the CMA since January to figure out what the EU did two years ago, and somehow it's not done yet — it'll take until October to confirm the proposal, around the same time it will 'begin consulting' on its roadmaps to rein the two in. CMA proposes action to drive more competition on mobile platforms [ Follow topics and authors from this story to see more like this in your personalized homepage feed and to receive email updates. Dominic Preston Posts from this author will be added to your daily email digest and your homepage feed. See All by Dominic Preston Posts from this topic will be added to your daily email digest and your homepage feed. See All Android Posts from this topic will be added to your daily email digest and your homepage feed. See All Apple Posts from this topic will be added to your daily email digest and your homepage feed. See All Google Posts from this topic will be added to your daily email digest and your homepage feed. See All iOS Posts from this topic will be added to your daily email digest and your homepage feed. See All News Posts from this topic will be added to your daily email digest and your homepage feed. See All Policy Posts from this topic will be added to your daily email digest and your homepage feed. See All Tech
